GVR Report cover Decarbonization Market Size, Share & Trends Report

Decarbonization Market Size, Share & Trends Analysis Report By Technology, By Service (Carbon Accounting & Reporting, Sustainable Transportation Services), By Deployment, By End-use, By Region, And Segment Forecasts, 2023 - 2030

  • Report ID: GVR-4-68040-129-9
  • Number of Pages: 100
  • Format: Electronic (PDF)
  • Historical Range: 2017 - 2021
  • Industry: Technology

Report Overview

The global decarbonization market size was estimated at USD 1.68 trillion in 2022 and is anticipated to grow at a compound annual growth rate (CAGR) of 11.6% from 2023 to 2030. Climate change is a significant focus for firms in the context of Environment, Social, and Governance (ESG), and the demand for decarbonization-related solutions will grow. Instilling sustainability into digital transformation products will help customers transition to a green corporate approach, which includes considering ecology from both a commercial proposition and a risk aspect. As a result, raising awareness of the climate's impact, reaching a consensus on the boundaries of climate goals, and building a strong and complete action plan will help the market advance.

Asia Pacific Decarbonization market size and growth rate, 2023 - 2030

Changing the supply of energy away from fossil fuels and toward zero-emissions electricity and other low-emissions fuels for energy, including modifying industrial and agricultural operations; hydrogen; managing energy demand and increasing energy efficiency; absorbing less emissions-intensive goods; utilizing the circular economy; deploying carbon capture, storage (CCS) technology; utilization, and improving sinks of both long-lived and short-lived pollutants.

Globally, many companies have made climate change mitigation commitments to chart a path towards decarbonization. Many companies are now going for public disclosure on their emissions and setting ambitious targets. Several initiatives, like science-based target initiatives, UN-Global impact business ambition for 1.5 degrees Celsius, and B-Corp’s commitment to reach net zero, have witnessed enhanced corporate participation in recent years.

Significant growth in renewable energy usage is fueling the market growth. The transition to low-carbon fuels, as well as the presence of strong environmental regulations in most developed countries, has offered a significant boost to the renewable energy sector. The energy generating market has grown in terms of installed renewable capacity in recent years, owing to increased environmental concerns and pressure to decrease the detrimental impacts of Greenhouse Gases (GHG). This has played a significant role in the growth of the solar and wind energy sectors.

These factors, combined with the environmental concerns regarding the use of fossil fuels, are expected to drive the market growth. Geothermal energy is renewable energy derived from the earth's heat and can be harnessed as a source of renewable electricity and for cooling & heating applications. With 3.7 GW of geothermal energy capacity, the United States tops the world. Furthermore, the world's largest geothermal plant is located in California, and with widespread industry adoption, geothermal energy is predicted to supply 10% of US electricity demand in the near future. These factors are expected to drive the market demand over the forecast period.

Technology Insights

Based on technology, the renewable energy technologies segment led the market and accounted for over 69% share of the global revenue in 2022. Renewable energy plants in regions have increased owing to the stringent government regulations regarding emissions. The power scenario in the country has been witnessing a change with the increased adoption of gas-based and renewable power sources as compared to coal-based power generation. The rising electricity distribution costs, power outages caused by faults in the main grid, and incentive programs introduced by the U.S. government are expected to propel end-use to shift towards setting up hydropower systems. This is expected to boost renewable energy segment demand.

The electric vehicle segment is expected to register a significant CAGR during the forecast period. Stringent vehicle emissions regulations have led to the rise in demand for electric vehicles. For instance, the European Union set itself a net-zero greenhouse gas emissions target by 2050. Electric vehicles produce lower emissions as compared to conventional vehicles. This has led governments worldwide to increase awareness and promote the adoption of EVs to reduce oil consumption, air pollution, and related emissions. Some of the most comprehensive promotions are done in the Netherlands and Norway. Thus, the market will grow notably during the forecast period.

Service Insights

Based on service, the sustainable transportation services segmentled the market and accounted for a 48.3% share of the global revenue in 2022. Sustainable transportation services refer to options and solutions that prioritize environmental sustainability, reduce carbon emissions, minimize resource consumption, and promote social and economic well-being. These services address the environmental and social challenges associated with traditional transportation methods while providing efficient and accessible mobility for people and goods. Using data and technology to optimize transportation services, reduce traffic congestion, and improve the efficiency of public transit is also a key aspect of sustainability in transportation.

The carbon accounting and reporting services segment will register a significant CAGR from 2023 to 2030. The process of computing, evaluating, measuring, and reporting a company's greenhouse gas emissions for auditing is carbon accounting services. Businesses can improve their management of carbon discharges by utilizing this service. Enhanced financial prospects for businesses are promising since investors are more inclined to fund a company that strives to reduce carbon emissions. This promotes greater transparency among interested parties and potential investors.

Deployment Insights

Based on deployment, the on-premises segment led the market and accounted for a 55.4% share of the global revenue in 2022. The on-premises deployment in decarbonization refers to reducing or eliminating carbon emissions from various sources, such as industrial processes, energy production, transportation, and buildings, to combat climate change. Facilities can lessen their dependence on fossil fuels and reduce emissions related to power usage by installing on-site renewable energy sources, such as solar panels, wind turbines, or even small-scale hydroelectric units.

The cloud segment is expected to register a CAGR of 13.2% during the forecast period. Deploying decarburization over the cloud is cost-effective, highly scalable, and provides easier execution, maintenance, and upgrades. Additionally, it provides advantages like security, data control, speed, and 24/7 assistance, making it the top choice for clients. With pay-as-you-go pricing and variable processing capabilities on demand, cloud infrastructure, sometimes called public cloud solutions, significantly lowers the cost of commercial computing. Public cloud services are entirely managed by third parties, relieving IT teams of the need to purchase, install, maintain, and update technology locally.

End-use Insights

Based on the end-use, the oil & gas segment registered the highest revenue and accounted for 29.2% of global revenue in 2022. Further, the energy and utility segment is also estimated to hold a prominent share throughout the forecast period. Decarbonization in the energy and utility sector refers to reducing or eliminating carbon dioxide (CO2) and other greenhouse gas emissions associated with the production and consumption of energy. This is crucial in addressing climate change and transitioning to a more sustainable and environmentally friendly energy system. One primary strategy for decarbonization is shifting from fossil fuels (such as coal, oil, and natural gas) to renewable energy sources like solar, wind, hydroelectric, and geothermal power. These sources produce electricity without emitting greenhouse gasses.

Global Decarbonization market share and size, 2022

The oil & gas segment is expected to register a CAGR of 13.8% over the forecast period. The oil and gas industry contributes significantly to global greenhouse gas emissions through the extraction, production, and use of fossil fuels. Decarbonization in the oil and gas sector refers to attempts to minimize the industry's carbon footprint and transition to a more sustainable and low-carbon energy future. One of the primary goals of decarbonization in the oil and gas industry is to reduce emissions associated with the extraction, processing, and transportation of oil and natural gas. This includes minimizing methane leaks, improving operational efficiency, and reducing flaring.

Regional Insights

North America is estimated to hold a significant market share throughout the forecast period and accounted for a market revenue of 33.0% in 2022. It can be attributed to the rising number of investments and initiatives in the green environment. For instance, in June 2023, the U.S. Department of Energy (DOE), under the leadership of the Biden-Harris Administration, announced an investment of around USD 30 million to accelerate the sustainability of federal buildings and clean energy technologies. In another instance, the North American Climate, Energy, and Environment Partnership has encouraged governments to adopt more sustainable policies and to purchase more renewable energy and electric vehicles as needed. Additionally, in partnership with the International Renewable Energy Agency, as part of a long-term global initiative, Mexico, Canada, and the U.S. are launching a Trilateral North American initiative to assist isolated, remote, and indigenous communities in transitioning to clean, renewable, and reliable energy sources.

Decarbonization Market Trends, by Region, 2023 - 2030

Asia Pacific is expected to grow at the highest CAGR of 14.9% over the forecast period. The expanding installation of solar power projects in China and India is driving up demand for renewable energy solutions in the Asia Pacific. These countries are major global solar panel markets in Asia Pacific. Furthermore, nations in the region, such as Australia and Japan, offer strong market growth potential because they have been heavily investing in solar power generation in recent years.

Key Companies & Market Share Insights

The global market is fragmented with the presence of several prominent players and large-sized companies taking significant initiatives over the forecast period. Major players adopt numerous strategies, such as contracts, agreements, acquisitions, mergers, implementing more improved services in decarbonization, and creating, testing, & launching new & enhanced solutions. For instance, In January 2023, Cepsa began constructing three new solar power plants in Castilla-La Mancha, Spain. The three solar energy farms have a combined capacity of 400 MW. The initiatives were executed in Campo de Criptana and Arenales de San Gregorio communities with a total investment of EUR 280 million. Some prominent players in the global decarbonization market include:

  • Deloitte

  • IBM

  • Atos SE

  • Accenture

  • Siemens

  • SAP SE

  • EcoAct


  • Dakota Software.

  • EnergyCap.

  • Isometrix

  • Trinity Consultants

Decarbonization Market Report Scope

Report Attribute


Market size value in 2023

USD 1.88 trillion

Revenue forecast in 2030

USD 4.06 trillion

Growth rate

CAGR of 11.6% from 2023 to 2030

Base year for estimation


Historical data

2017 - 2021

Forecast period

2023 - 2030

Quantitative units

Revenue in USD billion/trillion and CAGR from 2023 to 2030

Report coverage

Revenue forecast, company ranking, competitive landscape, growth factors, and trends

Segment scope

Service, technology, deployment, end-use, region

Region scope

North America; Europe; Asia Pacific; South America;Middle East & Africa

Country scope

U.S.; Canada; Mexico; Germany; U.K.; France; China; Japan; India; South Korea; Australia; Brazil; Mexico; KSA; UAE; South Africa

Key companies profiled

Deloitte; IBM; Atos SE; Accenture; Siemens; EcoAct; SAP SE; GE DIGITAL; Dakota Software.; EnergyCap; Isometrix; Trinity Consultants

Customization scope

Free report customization (equivalent up to 8 analysts’ working days) with purchase. Addition or alteration to country, regional & segment scope

Pricing and purchase options

Avail customized purchase options to meet your exact research needs. Explore purchase options


Global Decarbonization Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global decarbonization market report based on service, technology, deployment, end-use, and region:

  • Service Outlook (Revenue, USD Billion, 2017 - 2030)

    • Carbon Accounting & Reporting Services

    • Sustainable Transportation Services

    • Waste Reduction & Circular Economy Services

  • Technology Outlook (Revenue, USD Billion, 2017 - 2030)

    • Renewable Energy Technologies

    • Energy Efficiency Solutions

    • Electric Vehicles (EVs)

    • Carbon Removal Technologies

    • Carbon Capture and Storage (CCS)

  • Deployment Outlook (Revenue, USD Billion, 2017 - 2030)

    • On-premises

    • Cloud

  • End-use Outlook (Revenue, USD Billion, 2017 - 2030)

    • Oil & Gas

    • Energy & Utility

    • Agriculture

    • Government

    • Automotive & Transportation

    • Aerospace & Defense

    • Manufacturing

  • Regional Outlook (Revenue, USD Billion, 2017 - 2030)

    • North America

      • U.S.

      • Canada

    • Europe

      • Germany

      • U.K.

      • France

    • Asia Pacific

      • China

      • Japan

      • India

      • South Korea

      • Australia

    • South America

      • Brazil

      • Mexico

    • Middle East and Africa (MEA)

      • Kingdom of Saudi Arabia

      • UAE

      • South Africa

Frequently Asked Questions About This Report

gvr icn


gvr icn

This FREE sample includes data points, ranging from trend analyses to estimates and forecasts. See for yourself.

gvr icn


We can customize every report - free of charge - including purchasing stand-alone sections or country-level reports, as well as offer affordable discounts for start-ups & universities. Contact us now

Certified Icon

We are GDPR and CCPA compliant! Your transaction & personal information is safe and secure. For more details, please read our privacy policy.